Callianassids are among the most commonly found decapod crustacean fossils but their generic assignment is often difficult. Numerous cheliped remains have been found in the upper Miocene deposits of southwest Spain allowing description of a new species of a ghost shrimp, Podocallichirus laepaensis. The assignment of the new form to the respective genus is based mainly on the morphology of the major cheliped merus and provides useful implications for paleontological studies. Podocallichirus laepaensis is the first fossil record of the genus known to date. Several specimens preserved in association with and within Ophiomorpha traces are interpreted as in situ preservation. Thus, the new ghost shrimp is identified as the producer of trace fossils.